Subdividing a land, or the method of splitting up a single plot into two or more smaller plots is a highly profitable pursuit for the potential and prospering investors. Real estate investors need to be sure about the process. Rather, to yield the benefits of subdividing lands, the first step is hiring a licensed subdivision consultant. The steps to follow for putting it to effect are further discussed in the tips to generate the best results.
Typically, the existing subdivision regulations specify the size allowed to each lot, the street access type needed for each one, and the necessary access requirements like electricity and water. Additionally, as the real estate agent, you might want to look back to your own records to discover the restrictions on the total number of times you can subdivide a particular land.
First of all, Hire a Licensed Subdivision Consultant or Subdivision Surveyor
Once, all the information has been gathered on the land subdivision process in your area, the immediate next step is hiring a subdivision consultant or a licensed subdivision surveyor for doing the land survey. The surveyor will first take the accurate measurement of the present lot and the lots you intend to include within it. Next, they shall flag the area to display the boundaries. Besides, the surveyor works up a document termed as a preliminary plat that is a map depicting the details like access routes, land boundaries, flood zones, and the necessary easements.
Receive Approvals from the Government
Once the land surveyor is done with the preliminary plat to your desires, then you have to hand over the document to your local municipality to be approved. The licensed subdivision consultants then take up the responsibility to cater to the Government requested changes in the document and finally gain the approval.
Undergo the Needed Engineering Planning
With the preliminary plat being approved, you have to work with an engineer. Now the engineer will draw the plans cooperating with the subdivision consultant for the construction works to be done on the lots. This includes everything that includes the drainage changing patterns to adding more utilities to new lots.
After consulting with the subdivision consultant, the engineer draws up plans for the planning board to approve. When the changes to the plans are requested before giving their subdivision consents and finally approving them. But the approval procedure could take months for completion, so make sure to have ample time for undergoing the process.
Preparing and Recording the New Ideas
After the long process, when the plan has been finally approved, then finally you have to bring the entire plan of the proposed subdivision to the real estate attorneys. The real estate attorneys help through the dividing up process for dividing title for the new lots and even the back-end aspects to deal with the existing mortgage and even the ongoing appraisals.
When everything is done and even the necessary constructions, you have to work with your land surveyors for submitting the finalized plat to the local courthouse in your area. They shall record the new land plots’ new deeds and once you get them in hands, you can start selling your parcels.
According to the market conditions, the land division or subdivisions is really efficient for increasing the property’s value. In certain cases, two or more small land lots could be sold at a higher price compared to the big parcels. If this is your ultimate goal, then make sure to talk to a subdivision consultant before starting the subdivision process. Being the professional, the personnel will estimate the subdivided land’s value as against keeping the entire lot.